- TikTok is shutting down its original $1 billion creator fund on December 16th, 2023 after its 3-year commitment, impacting creators in the US, UK, Germany and France.
- The original fund launched in 2020 to pay creators for viral content but payouts were often low, just a few dollars for millions of views.
- TikTok introduced a new Creativity Program in February 2023 that bases earnings on views and engagement and promises up to 20x more earnings than the original fund.
TikTok has announced it is shutting down its original $1 billion creator fund on December 16th, 2023 for creators in the US, UK, Germany and France. The fund was introduced in 2020 to pay creators for making viral content, but payouts were often low.
The Original Billion Dollar Creator Fund
In 2020, TikTok promised to pay out $1 billion over three years to creators through the fund. Payouts were based on views and engagement. However, creators noted the low payouts, sometimes just a few dollars for millions of views. It was hard to earn a living through the fund alone.
Transition to the Creativity Program
In February 2023, TikTok introduced a new monetization program called the Creativity Program. This program requires videos longer than one minute and bases earnings on views and engagement. TikTok says creators can earn up to 20 times more than the original fund through this program.
The original creator fund is ending as planned after the three-year commitment. Creators in the US, UK, Germany, and France will transition to the new Creativity Program. The change comes as competing platforms like YouTube offer better revenue-sharing options.
Conclusion
TikTok’s original billion-dollar creator fund is shutting down after three years as planned. Creators will now earn money through TikTok’s new Creativity Program, which offers higher payouts based on views and engagement. The change highlights the platform’s evolving monetization options for creators.
